The Securities and Exchange Commission (SEC) has said subscribers of the defunct Dantata Success and Profitable Company (DSPC), Kano, a company that was flagged by it for engaging in Ponzi scheme, may not totally lose out if ongoing discussions with the company end in agreeable terms.
The commission’s Head, Corporate Communication, Efe Ebelo, confirmed at the weekend that SEC had completed the verification and that the commission was now discussing with the administrators/trustees and the management of the company with a view to settling affected subscribers’ claims. Ebelo stated that: “The commission urges members of the public who subscribed to the schemes to be calm as all efforts are being made to resolve the matter.
The commission remains committed to its core mandate of protecting investors and assures the general public that it shall perform this function in line with extant securities legislation.” It would be recalled that the commission had in February, 2019, sealed off the premises of DSPC for engaging in illegal capital market activities, specifically for carrying out investment operations that fell within fund management without registration with the apex regulator.
The company reportedly solicited funds from unsuspecting members of the public and did not register with the commission before going into investment operations that fell within the purview of fund management. It sold registration forms to prospective investors according to their investment plans, ranging from N1,000 to N3,000, with the minimum amount investable being N50,000 and a maximum amount of N5m, luring unsuspecting investors with returns of monthly interest on the investment of between 25 and 50 per cent, depending on the nature and type of the investment. In one of its numerous notices, the company, which claimed to be involved in trading, general merchandise supply, oil and gas, transportation, import, export, and general contract, directed all prospective customers to make deposits into designated bank accounts.
